EURCAD has edged higher since the day’s open while it has crossed above the 200-day moving average (MA).
The short-term bias as depicted by the RSI is bullish as the indicator is well above the 50 neutral mark at 66. This is reinforced by the stochastics as the %K line is bullish and it has crossed above the slow %D line.
Should the price manage to close above the 200-day MA, then the March 13 four-month high of 1.4416 would come into focus as an important resistance level. If this is breached as well, the 1.45 handle might serve as a psychological barrier to further upside moves.
On the downside, the 23.6% Fibonacci retracement (February 15 – March 13 upleg) at 1.4266 could provide support. If it fails to hold, the 38.2% Fibonacci at 1.4173 is likely to offer additional support.
Regarding the medium-term picture, the pair recorded a bearish cross in December when the 50-day MA moved below the 200-day one. Despite this, the uptrend since mid-February has challenged this signal for a neutral to bullish outlook further ahead.
Overall, the short-term bias is bullish and the medium-term outlook is neutral to bullish.
Forex trading and trading in other leveraged products involves a significant level of risk and is not suitable for all investors.
Recommended Content
Editors’ Picks
AUD/USD holds above 0.6500 in thin trading
The Australian Dollar managed to recover ground against its American rival after AUD/USD fell to 0.6484. The upbeat tone of Wall Street underpinned the Aussie despite broad US Dollar strength and tepid Australian data.
EUR/USD comfortable below 1.0800 lower lows at sight
The EUR/USD pair lost ground on Thursday and settled near a fresh March low of 1.0774. Strong US data and hawkish Fed speakers comments lead the way ahead of the release of the US PCE Price Index on Friday.
Gold pulls away from daily highs, holds above $2,200
Gold retreats from daily highs but holds comfortably above $2,200 in the American session on Thursday. The benchmark 10-year US Treasury bond yield stays near 4.2% after upbeat US data and makes it difficult for XAU/USD to gather further bullish momentum.
Google starts indexing Bitcoin addresses
Bitcoin address data is live on Google search results after users realized on Thursday that the tech giant started indexing Bitcoin blockchain data. However, mixed reactions have followed the tech giant's reversed stance on the cryptocurrency.
A Hollywood ending for fourth quarter GDP
The latest revisions put Q4 GDP at 3.4%, the second fastest quarterly growth rate in two years. Much of the upside was attributable to stronger consumer spending, yet fresh profits data affirmed it was a good quarter for the bottom line as well with profits up by the most since the Q2-2022.